$100 Oil: Tensions with Iran Drive Global Price Spike
Brent crude oil has topped $100 for the first time since July, reaching a high of $100.96 on Wednesday morning as tensions escalate between the US and Iran.
The global benchmark for crude oil is priced based on supply and demand in the world market, with US gas prices closely following movements in the global market.
Since the start of the US-Iran conflict on February 28, global oil prices have risen significantly. On February 27, Brent crude oil was priced at $72.99, but rose to $119.40 after a week.
The recent shutdown of the Strait of Hormuz, through which a fifth of the world's oil passes, has contributed to the increase in oil prices. This week, the US military destroyed five more Iranian oil tankers in response to attacks on its warships.